Grow with a business loan you didn’t think you could get

Historically, it has been difficult for small businesses to obtain a loan to the company from any of the traditional major banks. Since the financial crisis in the 1990s, the banks’ loan portfolio of corporate loans has gone from 50% to a pitiful 15%. In the place of corporate loans, private loans and, above all, mortgage loans have taken place. In big cities, house prices have risen and borrowing of cars, boats and the like has also increased.

This has had a major impact on society at large. Small businesses did not receive the support required in the form of funding, laws and regulations. Until a few years ago…


Business Loans Online – The Rescue of Small Businesses

When we founded Trans-Y Credit in 2015, we were among the first in our niche – online business loans. There were some challenges and thresholds to overcome at that time. For example, Mobile BankID had not made a real impact and did not have the same credibility and confidence as it has today. Then we often got good business owners to find the app and download e-credentials. Today, about 7.5 million have a mobile BankID, of which as much as 97.5% of Swedes between the ages of 21 and 50 have installed on their mobile.

So today it is no stigma to take a loan online, as it may have been 5, 10 and 15 years ago. Now there is another confidence in banking, financial and credit institutions that can lay the foundation for a new era of service to entrepreneurs.


Another type of assessment

loan credit

Instead of focusing on your company being a hundred years old, having dozens of employees, reports and high turnover, we choose to look at other factors. Cash flow, business concept and the fact that you seem to be an appreciated force in your niche are some things that we look at when assessing a company. Working with Creditsafe, Scrive, other data providers and the personal phone call we have with you means that we can often make a better assessment than the bank. Then it doesn’t matter if you are new and small. We can help you anyway!


Bank branch closures – a threat to the local entrepreneur

Bank branch closures - a threat to the local entrepreneur

Office after office is closed down in cities as well as in smaller towns. Do you really need to get in the car to go several miles to be able to visit a bank official at all? We don’t like it! Instead of an expensive costume, in the form of local offices and thousands of well-paid officials, Trans-Y Credit can keep costs down to offer loans to more entrepreneurs.


Grow with Trans-Y Credit Corporate Loans

money loans

Although it turns out that we can approve a certain amount for you, it can mean that after a few monthly payments, you can be approved for a higher amount. It is because you as a customer have your own Trans-Y Credit score with us and that all data points and behaviors play into what we can do for you as a customer. If you are not late with payments, your Trans-Y Credit score improves – and vice versa. Therefore, you can grow with us and prove why you should be approved for a larger loan at a lower cost.

Risks of Peer to Peer Loans

Peer to peer loans are when you borrow or lend to other people (sometimes business loans are included). This is often done via an intermediary service in the form of a digital platform. At present, there are several such intermediary services, both Swedish and foreign, which attract attractive interest on invested capital.


The principle is quite simple as an investor

money loan

If you have savings capital to avoid then you can start an account with any player and start lending it. You earn interest on the loaned capital. Interest income is normally taxed at 30%. In some cases you may also pay various fees for using the service.

With some, you can choose exactly who you want to legend to. Some offer the possibility of this being handled completely automatically. Some have “auctions” where the person offering the lowest interest rate can give the loan. Some have more fixed interest rates. It is not uncommon for the opportunity to earn between 3-15% in interest income on loaned capital, which when compared with savings accounts can be considered very attractive.

Yes there is very good to say and very nice has been said as the industry has grown at a good pace in recent years. Now to the risks I see with investing in peer to peer loans, one should always consider the risks in a financial investment.


The lender is responsible for the entire risk

credit loan

No deposit guarantee applies to the money borrowed. It is given the opportunity to choose a risk profile on the loans themselves, but I strongly suspect that in good times everything will roll on regardless of the risk profile. In bad, the crashes do not come on any single random loan but then they will roll in several at a time.


You lock money

Sure, you can be attracted by the possibility of a higher return, but when payments are made either occasionally or at the end of the loan period, you do not have the opportunity to sell / get money such as you, for example. have with shares or ordinary savings. One way to lock in shorter time is to invest in short loans.


The tax is high

tax loan

30% in these times when you hardly pay anything for ISK accounts is quite a lot. This means that you get a decent interest rate on your investments to make it worth the risk.


The return versus risk is not always as attractive

In practice as one might be led to believe. Although you can count about 7% over time in interest income on peer to peer loans from many Swedish players, it is the same rate of return that ordinary share savings provide over time. However, the difference is that when you want, you can get equity savings in cash by selling, undoing purchases or investing more in one and the same share if it feels comfortable to do so. Shares are more liquid than peer two per loan. Now, add that price movements are a risk. Then my risk comparison halts when peer to per loan does not have price movements, but for us others who believe that loss of capital is risk (bankruptcy, payment default), not price movements in themselves, then peer to peer loans appear to people who seek loans as a greater risk-taking than shares in established companies.


The seriousness and ability of the mediation service itself needs to be assessed

As well as having to try to assess companies to buy shares in, you need to assess the brokerage service. After all, it is through their glasses that you should decide how to lend your money and it is through them any recovery processes take place (or a third party that they choose). It is difficult to assess many of the brokerage services other than through their own website. In other words, are there rarely stores, products or services out in the “community” to go after and create their own opinion about. Nevertheless, public limited companies are rather tightly controlled over what information they must provide periodically, which simplifies transparency outward.

Stop Using Unnecessary Credit Cards – Save Money Quickly

Do you overspend your credit cards and end up with too much credit? Do you go into stores and only plan to buy a garment but it ends up spending 10 times more than you planned? Consequences of overspending are not good at all and much worse than you might have initially thought when purchasing the 10 garments.

At Moneysprings Bank we compare credit cards, but we also want the credit card to be used responsibly. Overdelivery and failure to pay the credit card bill result in overly high credits that can also affect your credit rating. The positive news is that you have full control over your credit card and we help you with strategies to avoid credit card overdelivery.


1. Don’t forget that you have to repay the credit

credit payment

With credit cards, it is very easy to not understand that you are actually spending money and that you are actually paying for the products you buy. You do not feel that the credit disappears in the same way as if you were spending money and not credit. It is therefore very easy to overspend with a credit card.

Credit card surveys and consumption linked to it have been done to show that people are willing to pay more expensive things with credit, such as tickets to a football match. Therefore, it is important to avoid thinking that credit is free money. Remember that you have to pay back all the money spent.


2. Think about your balance and not your credit limit

If you have succeeded in not using all your credit and you have a good income, your credit card issuer will reward you with a higher credit limit. You do not need to use all your available credit for it to be available. If you use too much credit, it can adversely affect your credit rating. Therefore, monitor your credit card balance and not just your available credit to make sure you do not exceed the spending limit. Let your credit card provider lower your credit limit if you keep a better eye on your credit card spending that way.


3. Be careful about juggling multiple credit cards

2. Think about your balance and not your credit limit

Generally speaking, the more credit cards, the easier it is to exceed the credit limit. Multiple credit cards also mean you have to manage your balances with all credit cards.


4. Don’t let your emotions control how you spend money

Be careful about spending money when you are feeling down. Studies have been done that show that people spend more money when they feel stressed, sad, angry, jealous or bored. If you are upset, postpone the shopping trip until you are in a better mood. This means that your emotions do not affect your finances. Also, try to map your emotional shopping triggers to avoid shopping unnecessary things with credit cards.


5. Let your financial goals guide you

financial goals

Think about where you want to be for the next 5, 10, 15 or 25 years. Work towards those goals and consider your choices carefully when deciding to spend money. Credit card overruns will definitely prevent you from reaching your financial goals.


6. Leave your cards at home

Only carry your credit card when you shop for a specific purpose. Buy groceries with a list at hand or buy a new phone. Otherwise, you risk using the credit card for unplanned purchases. The best way to protect your credit and the economy is to force yourself to use cash and debit cards without credit.

Do you have a habit of getting into financial trouble because of your credit cards? Do you miss paying your credit card bill at the end of the month? Leave your credit cards at home. Keep your credit cards only if you use them for unexpected expenses. Don’t let the credit cards control you. Take control of your finances instead! Plan your future and become a millionaire.